ICBA sent a comment letter to the Treasury Department on its Notice of Proposed Rulemaking on the GENIUS Act that intends to create final principles for ensuring the state-level regulatory regimes governing state qualified payment stablecoin issuers are substantially similar to the Federal regulatory framework. ICBA said:

• The proposal to divide regulatory requirements between those that must be uniform and those for which state-calibration is permissible is inappropriate.

• Treasury incorrectly limits itself to the requirements in section 4(a) of the GENIUS Act for determining substantial similarity.

• Treasury should require the Stablecoin Certification Review Committee to periodically recertify state-level regulatory regimes so as to ensure substantial similarity over time as state and federal regulatory regimes change.

• ICBA and its members are concerned that Treasury proposes to establish the OCC’s payment stablecoin regulatory framework as the basis for comparing state regulatory frameworks even as the OCC’s proposal is unfinalized.